Stocks Basics

What is the stock?

Company raises funds by selling its ownership to investors. This ownership to the investors is called equity or stock. The funds raised formed the equity portion of a company's capital structure. In return, the investors would receive shares in the compnay, representing their degree of ownership.

All corporations, either public or private, can issue stocks. If their stocks are traded on a stock market such as TSX, the companies are called public companies. Conversely, they are called private companies.

Why invest in Stocks?

Investors are attracted to the stocks because of the following benefits:

 

Economic Indicators

Stock is the barometer on economy. Any fluctuation in economic indicators will have an influence on stock prices.

Public Company Federal Filings (U.S.)

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